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Bitcoin Cash price analysis: Can bulls defend $640 support?

Bitcoin Cash price analysis

TL;DR Breakdown

  • Bitcoin Cash price analysis suggests upwards movement to $700
  • The closest support level lies at $640
  • BCH faces resistance at the $680 mark.

The Bitcoin Cash price analysis shows that after failing to climb above the $720.00 mark, the sellers broke the $680.00 support level as BCH returned to the $640.00 mark. Since then,the price has recovered to the $660 mark as the buyers defended the support level.  

The broader cryptocurrency market has observed a bullish market sentiment over the last 24-hours as most major cryptocurrencies record positive price movements. Major players include AVAX and DOGE recording a 9.38 and a 7.75 percent incline, respectively. 

Bitcoin Cash price analysis: BCH recovers 660, what’s next?

Bitcoin Cash price analysis: Can bulls defend $640 support? 1
Technical indicators for BCH/USDT by Tradingview

Across the technical indicators, the MACD is currently showing bearish momentum, as exhibited by the red histogram. The indicator currently shows a decreasing bearish momentum as expressed by the lighter shade of the histogram. The MACD exhibited a bearish crossover on November 10 and has remained in the region since then as the Bitcoin Cash price fell from the $720.00 level. 

The EMAs are currently stabilizing above the mean as the price action finds support at the $660.00 mark. The 12-EMA is moving upwards as the price tries to climb towards the $680.00 mark. Meanwhile, the 26-EMA continues moving downwards as the 26-day moving averages still show a bearish momentum. 

The RSI is currently neutral and trades close to the mean level at the 49.85 index mark. The indicator is currently moving along the x-axis as BCH oscillates below the $680.00 mark. The neutral position leaves room for volatile activity in either direction but the horizontal indicator shows that speculation runs high across the short-term charts.

The Bollinger Bands are currently wide but show convergence as the price action slows around the $650.00 mark. As the price action consolidates around the indicator’s mean line, traders can expect the indicator to converge in the centre showing a further decline in BCH price volatility as speculation runs high. 

Technical analysis for BCH/USDT

Overall, the 4-hour Bitcoin Cash price analysis issues a sell signal as 11 of the 26 major technical indicators support the bears across the timeframe. On the other hand, only five of the indicators support the bulls showing significant buying activity in the markets. Meanwhile, the remaining ten indicators sit on the fence and do not issue any signals at press time. 

The 24-hour Bitcoin Cash price analysis contradicts this sentiment and issues a buy signal with 15 of the indicators supporting the buyers against only one indicator suggesting a downwards movement. The analysis shows strong bullish dominance across the mid-term charts. At the same time, ten of the indicators do not support either side of the market and stay neutral. 

What to expect from the Bitcoin Cash price analysis?

Bitcoin Cash price analysis: Can bulls defend $640 support? 2
4-hour price chart by Tradingview

The Bitcoin Cash price analysis shows that the bulls struggled and failed in climbing above the $720 price level, causing the support at $680 to collapse. After setting up multiple lower highs, the price had fallen to the $650.50 mark but has since recovered above the $660 mark. 

Currently, traders should expect the buyers to defend the $650.00 mark as the price returns to the $675 mark. The suggestion is supported by the mid-term technical analysis that leans towards the bulls while the short-term indicators show low momentum on either side as the bulls struggle for market dominance.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Bilal Ahmed

Bilal Ahmed

Bilal Ahmed is a blockchain enthusiast and an avid reader who loves writing about ramifications of blockchain and cryptocurrencies. He believes in doing due diligence with facts before transmitting.

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